By Sara Sjolin, MarketWatch
Facebook slips premarket after revenue takes currency hit
U.S. stocks were poised for a pullback on Thursday, as futures
moved a sharp leg lower ahead of a cascade of earnings reports led
out by General Motors, Procter & Gamble and Caterpillar.
Investors will also be waiting for new home-sales data, coming
on the back of a stellar reading on existing-home sales out on
Wednesday. A report on jobless claims is also due.
Futures for the Dow Jones Industrial Average (YMM5) dropped 41
points, or 0.2%, to 17,904, while those for the S&P 500 index
(ESM5) fell 4.20 points, or 0.2%, to 2,096. Futures for the Nasdaq
100 index (NQM5) gave up 7.50 points, or 0.2%, to 4,437.75,
indicating the benchmark will struggle to reach a record on
Thursday.
On Wednesday, the Nasdaq (RIXF) rose for a third straight
session (http://www.marketwatch.com/storyno-meta-for-guid) to sit
only 13 points below its record close, reached on March 10, 2000.
The other benchmarks also climbed, getting a boost from
better-than-expected earnings and the existing-homes data.
Data: More housing numbers are due on Thursday, with new-home
sales for March on tap at 10 a.m. Eastern Time. Economists surveyed
by MarketWatch expect the annual rate to drop to 504,000 after
jumping to a seven-year high in February
(http://www.marketwatch.com/story/what-winter-blahs-sales-of-new-homes-hit-7-year-peak-2015-03-24).
Weekly jobless claims are due at 8:30 a.m. Eastern Time. They
are forecast to show 288,000 Americans filed for unemployment
benefits last week, down from 294,000 the previous week.
At 9:45 a.m. Eastern, Markit's preliminary report on the
manufacturing purchasing managers' index for April is due. Flash
PMIs out of Europe released earlier on Thursday showed growth
weakened at the start of the second quarter
(http://www.marketwatch.com/story/eurozone-economy-slows-in-april-pmis-show-2015-04-23).
Earnings: On an very busy day for earnings, General
Motors(GM.XX) is projected to report first-quarter earnings of 95
cents a share ahead of the bell, according to a consensus survey by
FactSet.
Caterpillar Inc.(CAT) is expected to report first-quarter
earnings of $1.35 a share, while PepsiCo Inc.(PEP) is projected to
report first-quarter earnings of 79 cents a share.
Dow Chemical Co.(DOW) is likely to post earnings of 76 cents a
share in the first quarter.
Also reporting premarket, Eli Lilly & Co.(LLY) is forecast
to report first-quarter earnings of 76 cents a share and Dunkin'
Brands Group Inc.(DNKN) is expected to report first-quarter
earnings of 35 cents a share.
Procter & Gamble Co.(PG) is likely to report fiscal
third-quarter earnings of 93 cents a share.
Tech giants fill out the results docket after the market closes.
Google Inc.(GOOGL) is forecast to post first-quarter earnings
(http://www.marketwatch.com/story/what-to-watch-for-in-googles-earnings-2015-04-20)
of $6.61 a share, while Microsoft Corp. (MSFT) is expected to
report earnings
(http://www.marketwatch.com/story/what-to-watch-for-in-microsofts-earnings-2015-04-21)
of 51 cents a share in the first quarter.
Amazon.com Inc.(AMZN) is likely to post a loss
(http://www.marketwatch.com/story/what-to-watch-for-in-amazons-earnings-2015-04-20)
of 16 cents a share in the first quarter.
StarbucksCorp.(SBUX) is forecast to post fiscal second-quarter
earnings
(http://www.marketwatch.com/story/what-to-look-for-in-starbucks-earnings-2015-04-20)
of 33 cents a share.
Movers and shakers: Shares of Facebook Inc.(FB) lost 2.1% ahead
of the bell after the social-media company late Wednesday said
currency effects hit its first-quarter revenue
(http://www.marketwatch.com/story/facebook-revenue-hit-by-currency-impact-2015-04-22),
which came in below analyst expectations.
Qualcomm Inc.(QCOM) lost 4.1% premarket. The chip maker late
Wednesday reported a slump in second-quarter earnings
(http://www.marketwatch.com/story/qualcomm-beats-earnings-cuts-semiconductor-outlook-2015-04-22).
AT&T Inc. (T) ticked 0.7% higher on the back of a slightly
better-than-expected earnings report on Wednesday
(http://www.marketwatch.com/story/att-adds-441000-core-wireless-subscribers-2015-04-22-164851122).
U.S.-listed shares of Ericsson AB (ERICY) tanked 8.2% after the
Swedish telecom-equipment maker posted earnings below forecasts
(http://www.marketwatch.com/story/ericsson-posts-weaker-than-forecast-profit-2015-04-23),
saying higher operating costs and lower spending by the U.S.
network operators had weighed on its earnings.
Other markets:European stocks traded mostly lower
(http://www.marketwatch.com/storyno-meta-for-guid) after the
disappointing PMIs. Investors are also closely monitoring news
about Greece's reform talks ahead of a key meeting of eurozone
finance ministers on Friday. Greek Prime Minister Alexis Tsipras is
due to meet German Chancellor Angela Merkel in Brussels on
Thursday.
Asian markets closed mixed
(http://www.marketwatch.com/story/hong-kong-stocks-slip-after-soft-china-data-2015-04-23),
while metals mostly traded higher. Oil prices
(http://www.marketwatch.com/storyno-meta-for-guid)(CLM5) slipped
and the ICE dollar index
(http://www.marketwatch.com/storyno-meta-for-guid)(DXY) climbed
0.2% to 98.09.
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